Cryptocurrency Bitcoin Cash: essence, advantages, mining and prospects
Cryptocurrency Bitcoin Cash: a history of appearance, differences from the MTC, the advantages of cryptocurrency and the prospects for quotes. How to buy, where to store and how to mine BCH.
On August 1, 2017, the scandalous fork of Bitcoin took place, which was a kind of surprise. Initially, it was supposed to be a soft update of the blockchain while maintaining the block size of 1 Mb, but for a small part of large miners this seemed unprofitable and they went to separate from the main branch of the chain. On this day, a new cryptocurrency appeared – Bitcoin Cash with a block size of 8 MB. Surprisingly, the new project quickly found positive feedback from investors – the coin went up and today it has managed to break into the TOP 5 in terms of capitalization. What is VSN and whether it can compete with the military-technical cooperation, how to mine it, what are its advantages and prospects, read in the review.
Cryptocurrency Bitcoin Cash: scandalous fork advancing on the heels of the MTC
The appearance of Bitcoin Cash was associated with a lot of information noise, which, first of all, was due to a lack of understanding of the prospects of both the military-technical cooperation and the newly emerging BCH. By the way, with the very name of the coin at first, there was confusion: initially, exchanges added the Bitcoin Cash cryptocurrency with the BCC ticket. But under this abbreviation is the notorious BitConnect coin. Later, Bitcoin Cash turned into BCH, but on the Internet, you can find both of these tickets.
Even at the time of the emergence of BCH, pessimists immediately doomed the cryptocurrency to failure – supposedly after the fork, investors would immediately have poured into the original Bitcoin. However, 8 months coin develops, is in the top 5 in terms of capitalization (according to the site Market Cap Coin – coinmarketcap . Com ). About how Bitcoin Cash appeared, what are its significant differences compared to Bitcoin, how to buy and mine it, what are its prospects, read in this review.
All About Bitcoin Cash Cryptocurrency
Despite the fact that the first cryptocurrencies appeared long before 2010, a real boom in popularity came in the spring of 2017. Up to this point, the cryptocurrency community did not even really know what forks are (branching, the appearance of a new branch of the chain while maintaining the old one). That is why one of the first major Bitcoin updates was under the scrutiny of all investors. This is now soft and hard forks you will not surprise anyone. But at that time no one knew what would happen next.
On July 23, the activation algorithm for improving Bitcoin BIP 91 was activated. Its adoption by the miners actually meant an agreement with the SegWit protocol, which provides for soft corrections, but the main thing is to preserve the 1Mb block size. The problem of scaling is the weak point of the military-technical cooperation, and the preservation of the 1 MB block meant a decrease in the commission for miners and a drop in profitability.
This situation did not suit everyone. And on August 1, the cryptocurrency minority (about 12% of miners) broke away from the main branch of the MTC, creating after the hard fork a new cryptocurrency BCH with a block of 8 MB. By the way, the initiators of the split were large Chinese farms, for which the profitability of mining was in the first place. After the fork, each PTS owner received the same amount of a new BCH coin, but the new coin was received ambiguously. Indeed, from the point of view of financial logic, the price should have fallen for the following reasons:
- the appearance of free crypto among miners, which can be immediately converted to fiat;
- the uncertainty of the existence of a coin. Not all pools supported hard fork, initially, there were only three.
Nevertheless, after a small drawdown, by the third decade of August, the coin had gone up. Whether investors believed in it or if someone decided to support the idea, we will not know this soon.
A short summary: the success of the BCH is primarily due to the popularity of the military-technical cooperation because essentially no fundamental changes in the network have occurred, not counting the volume of blocks. In the early days of the fork, they were cautious, but after a while, the Bitcoin Cash cryptocurrency was added by both exchanges and pools.
Advantages of Bitcoin Cash:
- finding a new block takes a little less time than finding a block from the military-technical cooperation. Given that while its price is much lower than the military-technical cooperation, this is more profitable;
- higher transaction speed and relatively lower commission;
- there is protection against repeated playback and erasure of data;
- There is support for many versions of its software.